A Study On Regulations In Tobacco Industry And Evasion Tactics By Transnational Corporations

The tobacco industry is one of the most controlled industries worldwide. Because of its unique character of addiction and impact on each country's fiscal revenues, and national economy, those make tobacco industry received a great deal of restrictions from international hygiene and health organization. Meanwhile, each country's governments also construct this industry with more social and economic control. Tobacco Transnational Corporations (TTCs) is the main behavior body of this industry, and they synthetically use various methods on their business to escape the regulations from both international organizations and national governments.This paper analyzed the regulation and the tactics of TTCs under the frame of the control theory of economics. It is the social control that the tobacco industry receives at first: Such as tobacco products harmful element limited, advertising restrain from respect start with, explain to analyzing to economics of tobacco industry main social control tactics in the world how TTCs evades these ones that control and carry on managing in it; Secondly concentrate on entering limiting accurately with the regulatory of the price mainly to the analysis from economy control that the tobacco industry receives , in analyzing how to evade these is it composing a piece of writing, announce its globalization management characteristic embodied in managing to control TTCs, a further step is that how a country can reach the purpose of increasing the fiscal revenues and improving national welfare through appropriate control of the industry.This paper will put forward some policy suggestions that are suitable to the China's actual conditions for the government of the heaviest tobacco consumer market of China and Tobacco Company. Finally, we hope that can make fiscal revenues of our country, national welfare and income of Tobacco Company up to optimum condition.